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    Home»Featured»New Legislation in the US Proposes Minimum Streaming Payment for Musicians
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    New Legislation in the US Proposes Minimum Streaming Payment for Musicians

    Daniel snowBy Daniel snowMarch 15, 20242 Mins Read
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    US Representatives Rashida Tlaib and Jamaal Bowman have introduced the Living Wage For Musicians Act, aiming to address the issue of low streaming payments for artists. Collaborating with the United Musicians and Allied Workers and other artists, the bill proposes a minimum payout of 1 cent per stream, significantly higher than the current industry standard.

    Under the proposed legislation, platforms like Spotify would be required to ensure that artists receive a fair compensation for their work, with a minimum payment threshold set at one penny per stream. This initiative seeks to provide a living wage for working-class musicians who rely on streaming revenue as a significant source of income.

    Funding for the increased royalties would come from platform subscription fees and a 10% levy on non-subscription revenue. The bill also suggests implementing a cap on tracks after they reach one million streams to ensure a more equitable distribution of payments among artists.

    Representative Tlaib emphasized the importance of supporting artists in the digital age, stating, “Streaming has changed the music industry, but it’s leaving countless artists struggling to make ends meet… It’s only right that the people who create the music we love get their fair share, so that they can thrive, not just survive.”

    The introduction of this bill comes in response to Spotify’s recent announcement that it would no longer compensate artists for songs with fewer than 1,000 streams, citing concerns about artificial streaming practices. While Spotify aims to deter manipulation of the system, critics argue that the policy disproportionately impacts smaller artists who rely on streaming revenue to sustain their careers.

    As the debate over streaming royalties continues, the Living Wage For Musicians Act represents a significant step towards ensuring fair compensation for artists in the digital era.

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